Business news from Ukraine


21 October , 2015  

KYIV. Oct 21 (Interfax-Ukraine) – Myronivsky Hliboproduct (MHP) sold 150,260 tonnes of poultry to third parties in July-September 2015, which is 4% up year-over-year, the company said in a report on the website of the London Stock Exchange (LSE).

As a result of the increased production volumes at Vinnytsia poultry farm (100% utilization since the beginning of 2015), poultry production volumes in Q3 2015 increased by 6% to 142,295 tonnes and in 9M 2015 production increased by 4% to 420,720 tonnes.

Poultry sales in 9M 2015 grew by 3%, to 407,680 tonnes.

Due to significant depreciation of the local currency, domestic demand for chicken meat has increased,  which also occurred as a result of consumers’ trade down from more expensive meats (pork and beef) to more affordable ones. MHP’s domestic sales volumes in Q3 and 9M 2015 increased by around 15% and 4% year-on-year respectively.

During the third quarter of 2015 chicken meat exports were 22% lower than in Q3 2014 and constituted 34,585 tonnes mainly due to decreased exports to the CIS region in Q3 2015 compared to the same period last year. During the first nine months of 2015, poultry export sales remained relatively stable at 100,600 tonnes compared to 102,145 tonnes.

MHP continues to follow its strategy of diversified export markets and is seeking new business opportunities in Asia, the Middle East and Africa by building-up export volumes of chicken meat.

The average chicken price in Q3 2015 remained stable compared to Q2 2015 but at the same time increased by 25% year-on-year to UAH 27.62 per kg (excluding VAT) predominantly due to the Ukrainian hryvnia depreciation.

Through the nine months of 2015 the average chicken prices increased by 45% to UAH 26.92 per kg (excluding VAT) compared to the nine months of 2014.

During the third quarter of 2015, sausage and cooked meat production volumes increased by 2% to 8,960 tonnes. During the first nine months of 2015, production volumes decreased by 13% to 20,950 tonnes.

At the same time the average sausage and cooked meat prices during the third quarter of 2015 increased by 35% to UAH 43.71 per kg (excluding VAT) and through the first nine months of 2015 increased by 61% to UAH 42.92 per kg (excluding VAT).

In Q3 2015, MHP sold 71,900 tonnes of sunflower oil, which was 4% lower than in Q3 2014. In 9M 2015, 217,710 tonnes of sunflower oil, which was 26% higher than in 9M 2014, were sold at an average price of $786 per tonne.

MHP is the largest poultry producer in Ukraine and is also engaged in the production of grains, sunflower oil, and meat.